Sturm, Ruger & Co. Beats on Both Top and Bottom Lines
Sturm, Ruger & Co. (NYS: RGR) reported earnings on May 1. Here are the numbers you need to know.
The 10-second takeaway
For the quarter ended March 31 (Q1), Sturm, Ruger & Co. beat expectations on both revenue and earnings per share.
Compared to the prior-year quarter, revenue improved significantly and GAAP earnings per share grew significantly.
Margins increased across the board.
Sturm, Ruger & Co. booked revenue of $110.8 million. The one analyst polled by S&P Capital IQ expected to see sales of $101.7 million on the same basis. GAAP-reported sales were 49% higher than the prior-year quarter's $75.4 million.
Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.
EPS came in at $0.79. The two earnings estimates compiled by S&P Capital IQ predicted $0.68 per share. GAAP EPS of $0.79 for Q1 were 88% higher than the prior-year quarter's $0.42 per share.
Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.
For the quarter, gross margin was 37.2%, 540 basis points better than the prior-year quarter. Operating margin was 21.7%, 520 basis points better than the prior-year quarter. Net margin was 13.8%, 330 basis points better than the prior-year quarter.
Next quarter's average estimate for revenue is $91.5 million. On the bottom line, the average EPS estimate is $0.74.
Next year's average estimate for revenue is $379.5 million. The average EPS estimate is $2.70.
The stock has a four-star rating (out of five) at Motley Fool CAPS, with 461 members rating the stock outperform and 30 members rating it underperform. Among 116 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 114 give Sturm, Ruger & Co. a green thumbs-up, and two give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Sturm, Ruger & Co. is outperform, with an average price target of $53.
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At the time this article was published Seth Jayson had no position in any company mentioned here at the time of publication. You can view his stock holdings here. He is co-advisor ofMotley Fool Hidden Gems, which provides new small-cap ideas every month, backed by a real-money portfolio. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.